Mail - Buy-to-let is now a safer home for savings

doire_2

Turnbull2000 wrote: »

http://www.dailymail.co.uk/property/article-2064217/Rise-nest-egg-landlords-As-ordinary-families-lose-faith-banks-shares-buy-let-safer-home-savings.html


First-time buyers really do need 95-100% mortgages back. There's simply too many influential groups who wish to maintain land and property values to believe that falling prices and more house building will provide them with a step on the ladder. The Times explained this quite neatly today.

You are obesessed with BTL. I think you need to take on another few if they are such a safe bet. Can i ask you how many do you have?

IveSeenTheLight

shortchanged wrote: »

Maybe you have been more realistic about your predictions than others on here. But there is no doubt that being in the BTL business you have a vested interest in ramping property prices.

On the contrary.

My business model is based on the monthly rental return being profitable.

I've shown on a number of occasions that capital growth is a bonus and that property investment gives a better capital return than placing the deposit in a savings account over a 25 year period.

That said, I would expect capital growth over a 25 year period. (you can argue real terms if you want but the deposit invested would also be affected by real terms return if invested elsewhere)

shortchanged_2

IveSeenTheLight wrote: »

On the contrary.

My business model is based on the monthly rental return being profitable.

I've shown on a number of occasions that capital growth is a bonus and that property investment gives a better capital return than placing the deposit in a savings account over a 25 year period.

That said, I would expect capital growth over a 25 year period. (you can argue real terms if you want but the deposit invested would also be affected by real terms return if invested elsewhere)

Apologies ISTL, I didn't realise you were happy with a falling market.

IveSeenTheLight

shortchanged wrote: »

Apologies ISTL, I didn't realise you were happy with a falling market.

You need to look at the local market to see how it fares.
https://forums.moneysavingexpert.com/discussion/3639629

Graham_Devon

shortchanged wrote: »

Apologies ISTL, I didn't realise you were happy with a falling market.

Nor did I.

All the graphs posted to show property is increasing in Scotland somewhat confused me.

IveSeenTheLight

Graham_Devon wrote: »

Nor did I.

All the graphs posted to show property is increasing in Scotland somewhat confused me.

The data is what it is. (Incidently, I've been stating the markets have pretty much stagnated over the last 4 years)
If the data for the local area shows an increasing trend, then who am I to argue?
indeed, I wouldn't argue (as I haven't when there have been falls as well).
What has been debated is understanding the methodology and the effect on the figures.

I was over bearish in 2010 and am looking at being over bearish in 2011 going by my predictions.

If your confused, why not articulate what's confusing you and we may try to enlighten you.

Graham_Devon

I'm just confused that you don't put yourself in the bull camp to be honest.

You seem just as confused yourself.

geneer

IveSeenTheLight wrote: »

I merely base my opinion on the facts and a huge dose of reality.
I'm sorry if you don't like that.

Actually light, my experiences with you suggests that you base your opinions only on the facts you choose to accept.
Which wold make the size of your "dose of reality" somewhat suspect.

IveSeenTheLight

Graham_Devon wrote: »

I'm just confused that you don't put yourself in the bull camp to be honest.

You seem just as confused yourself.

I'm not confused.
I have generally thought in the last couple of years that stagnation was the order.
I predicted +1.5% in 2010 and it turned out to be circa +3.8%
I then predicted -1.5% in 2011 to reflect a correction to my positive prediction for 2010.
The net result being stagnation over the last two years.

I am however bullish on property long term and have always been so

Hope that clarified it for you and eased your confusion

kabayiri

At this moment in time we don't have any BTL property here in the UK, just the family home.

But I can't see how anyone can disagree with BTL being one of the safer leveraged investments out there. It's far more likely for government to support the housing market than provide incentives for savers who choose bank deposits for example.